Two months ago Whayne Supply employees were advised that layoffs were coming. On Tuesday morning, the employees found out just how many jobs are being cut. Now employees must wait until Friday to find out if they are the fortunate ones who are keeping their jobs.
A source close to the company said Whayne Supply President and CEO Monty Boyd addressed employees at the company’s 17 facilities across Kentucky and southern Indiana via satellite, announcing that 87 employees, or approximately 7 percent of the 1,300 employees would be losing their jobs.
“That is hourly and salaried employees,” the source said noting that Boyd said the layoffs would affect all areas from top to bottom.
No information was provided concerning how many workers in Corbin would be affected.
The company currently employs 110 people in Corbin.
The source said employees at the Corbin facility are concerned that the layoffs may hit entire departments.
While the employees were notified about the impending layoffs on May 13, the source said it has been difficult for the employees and their families because of the uncertainty of it all.
“They didn’t know if they should be out looking for another job or not,” the source said.
In a press release, Boyd said layoffs are a last resort for the company in its attempts to cut costs in the face of declining revenue and profitability.
“Due to deterioration in our traditional markets in the eastern Kentucky area and coal industry with no signs of future improvement for some time, Whayne Supply Company has to make the difficult decision to right size our locations and support center affected by these conditions,” Boyd said in the release.
In the notice of layoffs sent out May 13, company officials stated that the layoffs would be effective July 15.
The company laid off seven employees at the Corbin facility in 2015 and 14 employees in 2013.
This layoff follows the loss of 180 jobs at CSX’s Corbin train yard when the company closed the locomotive shop, service center and car shop in October.
The layoffs represented approximately 50 percent of CSX’s workforce in Corbin.
Corbin Mayor Willard McBurney said previously that seeing companies such as Whayne Supply and CSX forced to lay off workers is hard on the community.
“When you take a company that has been so vibrant and see them in this condition, it is heartbreaking,” McBurney said.